Aldus Position Strategy - Essay Example

Aldus Position Strategy Task Introduction Ineffective handling of managerial position refers to misuses of an office of management for other purposes like for selfish gains. Effective Managerial position refers to an appropriate use of an office. This unit examines the managerial processes within the Aldus Corporation and the leadership used by managers and officials in their running of an institution. Strong’s Suggestion To Alter The Positioning For Aldus Corporation Positioning strategy refers to the creating of favorable images of a product in the mind of a potential customer. Strong’s suggestion to alter the positioning strategy for Aldus came amidst challenges of creating a better Aldus Corporation by the management. Strong’s proposal was motivated by the need to initiate separate advertising strategies for the marketing segments that existed at the moment. Strong based his theory on including PageMaker, persuasion, and growth of new products. He reasoned that separate marketing strategies would improve the activities, and management within Aldus Corporation. He used positioning strategy to hold up to his augment of altering the positioning strategy of Aldus Corporation (Ivey, 2002). The dissimilarities between consumer and organizational markets Consumer markets refer to the commodities and services that are designed in agreement with the stipulations of a potential consumer, whereas, organizational markets refers to individuals and organization who purchase goods and services other for commercial purposes. Customer and organizational souk both have distinctions in their structure, services, the goods and commodities being handled in the market. The distinctions amid buyer and organizational markets are the reason for the purchasing of commodities and making of choice. 1 The purposes for the purchase of goods and commodities by organizational souk are for commercial ventures. Individuals buying products for organizational markets always purchase commodities in large volumes. Consumer demand drives the organizational to manufacture the products. Consumer markets are markets that accommodate commodities and services required for individual use by a consumer. They are driven by the desire to gratify a need, thus purchase what they deem necessary for satisfaction of the needs and wants. 2 Consumers have a wide choice of commodities to choose from when purchasing a product. They are totally dependent on the choices they make when purchasing their merchandise and facilities offered. Organizations are restrained by regulations that govern them on the type and quantity of commodities and services to purchase. Advantages of consumer and organizational market to the positioning policy The positioning policy of Aldus Corporation is influenced a lot by the differences amid the customer and organizational markets. Marketers have used positioning to refer to change tha competes the identity of a similar product, which has been initiated in the market. Consumer markets promoted the ease of contact of a product manufacturer with the Potential consumers. The demand driven nature of purchase of commodities by consumers allowed the manufacturers and producers to place their goods strategically to compete with the other supplies. This is because they were in contact with customers and constantly asked the customer questions regarding their commodities. Aldus Corporation probably used this technique in strategically positioning their commodities to compete with the desktop publishing markets. Organizations and companies methods of purchasing commodities have tactically located them, since the resolutions they make are influenced by the markets they use. Organizational souks have contributed to positioning strategy, since they are forced to look and venture opportunities to enable them to compete favorably with other organizations that are dealing in the same line of commodity. The Criterion for Clustering Souks Market section refers to the classification consumers into collections for easier identification. The consumer segment helps the manufacturer to manufacture his commodities in relation to the demand of the customers. Market division, therefore, refers to the aggregation of consumer into clusters to have individuals with the same needs. There are different types of criteria used for dividing souks. Souks can be segmented in the following ways physical segmentation, demographic segmentation, physiographic segmentation, Positive” market segmentation and Occasion segmentation. 1 Markets are always segmented by their physical position. This refers to the exact site where market is located, the postal code, and, the nation or state it is situated. 2 Demographic division refers to the partitioning of souk into diverse clusters that are easily identifiable. The groups can be divided along various variables like age brackets of the potential customers, Secondly, division may ne on the basis of gender since this will influence the products to produce in large quantity. An example is that if the statistics of females are high than the figures of males then there will be a shift in demand. The producer will manufacture more women commodities than men’s. 3 Physiographic segmentation refers to division of the souks into clusters based on their psychological tendencies. These tendencies are wide and ranges from such factors like personality, standards of living and values. 4 Positive” souk segmentation refers to the grouping together of souks with comparable needs and wants. “Positive” segmentation refers enables pooling of resources in an area, thus aid in facilitating the trading process. 5 Occasion segmentation refers to the segmentation of the souk according to the prevailing incidents. Occasion’s segmentation helps in meeting the customer and the manufacturer’s interest, since the markets are arranged according to their specifications. Segmentation Scheme Based on Market Characteristics The proposed market segmentation refers to the partitioning of the Aldus corporations into groups that will promote and increase the sales of their products. The corporation decision to segment the firms were necessitated by the need to operate under the existing computer system used, and whether the user was or was not creative graphic professional. The proposed segmentation scheme of the Aldus Corporation was based on occasions the firm was in like availability of the potential consumer. Targeted Souk Identified In the Case The target market identified by strong in the case of Aldus Corporation was the business individuals and the creative graphics professionals (Ivey, 2002). The nature of the firm’s activities required a lager markets, as a result, business persons and creative graphics professional were the commonly targeted sets of individuals, since they had the capability to purchase, and demanded the commodities to assist them in their activities. Definition of the Stages of the Product Life Cycle This refers to the stages passed by a product from the time of inclusion to the market to the time of exclusion from the market. These stages are closely linked with each other a stage can not be jumped by a product. The states of product life cycle are ‘market introduction stage’, ‘growth stage’, ‘maturity stage’, and ‘saturation and decline stage’. ‘Market introduction stage’ There are no profits made at this phase, since it acts like a window period stage for the business. Secondly, there are a lot of merchandise promotion activities in the organization, since the consumer’s lacks knowledge of the product. Market section refers to the need to create consciousness of a product, since purchase of the merchandise will not exist because potential consumers are not aware of the existence of the product in the market. Lastly, there is no competition of the product, since it is new in the souk, and the targeted market is not demanding. ‘Growth Stage’ There is a reduction on the costs of production, since the firm has made an effort in marketing his products. The publicity of the product leads to brand loyalty by consumers, as a result, there is an increase of the product’s purchase leading to reduced production rate. Secondly, there is an increase in profitability of the firm, since there are many buyers purchasing the product; thus there is an increase in the amount of profits in the organization. ‘Maturity Stage’ This is a stage where the organization attains its full potential, since there is an augment in the sales volume of the product. Secondly, the costs of product are lowered, since the rate of supply is high than the rate of demand. The inequality in the demand curve leads to an excess of the commodities in the markets, as a result, the prices of the products are reduced. Lastly, the industrial profits are lowered as there is a low profit income to the organization. ‘Saturation and decline stage’ This is stage where the product looses its value. The sales of the product are reduced, since there are no buyers for the product. This is because there are other substitutes accessible in the market, and other better qualities product. Stages of the Product Life Applied In the PageMaker Version The professional version of the PageMaker can be categorized to be in the Growth stage. The stage awarded to the version is because of the costs effective nature it was built to serve. There was a lot of competition in the market when the product was being introduced. The professional version of the PageMaker is characterized by the effort made to make the public aware of the introduction of the product in the market. Secondly, the sales volumes of the versions increased, since there was adequate public awareness of the product. Thirdly, there was an increase in the competition by other corporations offering similar services to the product (Ivey, 2002). Marketing Mix Plan Applied In the Professional Version of the PageMaker The four elements to use in marketing the PageMaker are the ‘product’, ‘Price’, ‘Place’ and ‘promotion’ (Ivey, 2002). Product Aldus Corporation has to look at the product they offer to customers. The physical attributes of the PageMaker have to be in accordance with the customers expectations. The brand of the PageMaker should be unique and different from machinery being offered by the other organizations. Price Aldus Corporation initiated favorable pricing mechanisms that allowed stiff competition with other organizations. The corporation succeeded in this venture because it revised its pricing, thus positively increasing their profits. Price is a highly central element in determining the sales of a product. Higher product prices lead to a decline in the number of purchase of a commodity, whereas, low prices leads to rises in the purchase of commodities. Place The distribution location for the PageMaker version acts a fundamental role in determining the sales volume of the product. The ease of access of the location determines whether customers will readily purchase the versions of the PageMaker. The distribution location proposed by Strong should be one that is readily accessible to customers to hearten the purchase of the product. Promotion The methods used to promote the version of the PageMaker should be reliable and appealing to the corporation and the customers. Advertising is an outstanding method to apply in increasing the sales of versions of the PageMaker. Secondly, sales promotion is a tool that increases the sales of a product when accurately applied as a marketing tool in the promotion of the PageMaker. Definition of the Notion of Perceived Values Perceived worth refers to a customers view regarding the cost of a product. The perceived values satisfy a consumers need by depending on the products aptitude. The worth of a product refers to the mental calculation by a customer on the possibility of product to satisfy a perceived interest. Ways in which Perceived Values Influences Marketing Strategy There are various perceived factors influencing marketing strategies. These issues are numerous and vary in intensity. They highlighted below: The organization An institution is expected to initiate various programs to the society like contributing to positive improvements to the society. The organization, as a result, is forced to alter or develop new marketing strategies that are directed towards the well being of individuals in a society. Consumer intention Customers have to memorize the importance of a product before making known their intentions. Advertising endorser is a perfect tool for educating the consumer and making then make a choice or change their intentions regarding a product. Advertising is a perfect example of the marketing methods used in the marketing of a product. Influence of culture Consumers have a different perception regarding their option of a commodity depending on the respective cultures. Culture has different ways of influencing the purchasing ability of a product. An example is that certain cultures have put restrictions on the commodities to be used by their members. Certain community’s from the Middle East restricts individuals from eating cows considering he act to be religiously unacceptable. Remanufacturing and new products Remanufactured products and the identity of the producer influence the consumer’s choice regarding a product. Remanufactured products influence the marketing plans both positively and negatively, since it manipulates the perception of a consumer towards product. Marketing strategies may be employed to product, but the perception of a remanufactured product materially impacts on the decisions of a consumer. Problems Posed For Aldus in Dealing with the Organizational Buyers Selling to organizational buyers will impact negatively on the Aldus Corporation. The negative impacts associated with selling of the products are listed below (Ivey, 2002). High cost The costs of selling products to an organizational buyer are high compared to the costs of selling products to local buyer. A lot of financial resources will be wasted when Aldus embarks on researching about a product. Rigid rules Organizational buyers have their regulations governing their relationship with organizations. The rules tend to be rigid and are in favor of the buyers themselves. Aldus Corporation stands loosing their control over the organization when they decide to sell their goods to organizational buyers. Approval problems Aldus cooperation may experience a problem of being approved by the organizational buyers. The difficulty in the approval system is due to the acknowledgment of brand name of the product by the organizational buyers. Organizational buyers tend to deal in products that are widely known by consumer, since they highly make profits from products with a reputable brand name (Ivey, 2002). Conclusion Conclusively, Aldus Corporation requires sound strategies to help in implementing the decisions that influence the leadership of the corporation. Issues like market segmentation, advertising mix and marketing strategies, requires should be carefully chosen tot improve on the sales of the products being offered by the Aldus Corporation and sound strategies taken tot develop on this issues. Reference Ivey, R. (2002). Aldus Corporation. Richard Ivey School of Business-The University of Western Ontario. Retrieved on April 16, 2012, from Read More